There's too much bureaucracy behind all payroll: timesheets, and tax notices getting sent out. They’re a massive waste of time.
But businesses can redefine the role of payroll workers, shifting from back-end admin tasks to more engaging roles like managing the employee experience and making decisions about earned wage access.
After all, an employee is a human at the end. Payroll workers can make a positive impact on them. This perspective makes payroll far more exciting. I’d love to see more companies grow their expertise and employee experience.
To prepare for this, let’s imagine a situation where we move away from physically handing over documents to committing more to meaningful tasks. But how?
New technology is creating so many opportunities. Let’s break down how to transform your payroll practice in a better way.
By the end of the month, most payrollers look disconsolately at their screens. The same work, over and over again. So the first thing you can do is automate wherever you can.
Yes, most of us still do things manually — entering data, calculating hours, deductions, and taxes. But it's time-consuming and error-prone.
Here payroll or HRIS software comes to the rescue of payroll teams. It syncs directly with your time-tracking and HR systems, saving hours of manual data entry.
Case in point: Imagine a mid-sized tech company that used to take three days to close payroll each cycle.
After implementing payroll software with real-time integration into their attendance system, they cut it down to a few hours. That’s two days saved each month, right there.
What also drives improvement is cutting down on repetitive errors.
White collar workers, especially in payroll, like hypothetical debates to prevent some sort of trouble. But to my mind, the secret source of error-free payroll is an integrated payroll system.
Errors happen when your systems aren’t talking to each other. When you manually transfer task by task, invoice by invoice between systems that’s where you can fall into a trap.
Automation might have a life-saving impact. Integrate your HR, time-tracking, and payroll platforms, and you’ll see the difference.
As a side effect, payroll drudges find more meaning in the work, with less time spent on duplicate entries.
Also, I hope you’ll surely enjoy automated validation for common mistakes — like missed deductions or incorrect tax codes. Payroll software can flag discrepancies before you hit “Send”, letting you fix them quickly.
Example: A retail chain introduced an automated flag system in their payroll software for any variance over 5% in deductions or taxes. They cut their error rate in half and saved hours of rework each pay cycle.
As your company expands, managing data and performance across multiple entities can be a challenge. Many leaders struggle to find the right approach.
One effective strategy is rule-based automation. While machines won't do all the work, they can significantly reduce manual effort. By automating tasks like calculating bonuses, overtime, and shift differentials, you can free up your team to focus on strategic things.
Example: A healthcare company faced difficulties with managing different shifts, pay rates, and holiday bonuses across entities. By implementing payroll software with rule-based automation, they were able to:
Compliance is a major headache, but you can simplify it. Most modern payroll software solutions come with built-in compliance features. They update tax laws, regulations, and labor rules automatically. Why don’t we use those features?
Example: A construction company faced heavy penalties due to overtime miscalculations. After switching to a cloud-based HR and payroll software, the system adjusted payroll according to the latest labor laws, saving them thousands in fines and hours of audit prep time.
I've seen firsthand the chaos that can result from inaccurate time tracking. Late submissions, discrepancies, and manual adjustments can quickly spiral out of control.
That leads to errors, missed deadlines, and employee dissatisfaction.
A time-tracking system isn't just about following rules; it can help your team work better. When you connect it to your payroll software, you won't need to worry about spreadsheets.
It can automatically calculate overtime, paid time off, and different pay rates for different shifts.
Example: A construction company used to have foremen write down their hours by hand. This often caused problems. After using employee payroll software, hours were tracked automatically using a mobile app. This information was then sent directly to the payroll system, saving two whole days of manual work each month.
Audits reveal true competence. If you can withstand and not get lost in the flow of employee records, that, for sure, speaks about your proficiency. If not yet, start small – keep digital records in one place, a payroll management system.
If your data is scattered between emails, spreadsheets, and file folders, audits will be a pain. Luckily, most payroll software solutions allow you to have everything from records of hours worked and pay rates to tax withholdings centralized. That saves time.
Example: An e-commerce business went from panic mode during audits to a smooth, efficient process by centralizing payroll and tax records. The time spent on audits dropped by 75%.
Last but not least, some financial advisers claim that it doesn't matter how much money you make, it matters what you keep. So, financial well-being begins with the ability to control own paycheck.
Employees need clear access to their pay information, including what a pay stub looks like, deductions, and taxes.
Self-service portals available in modern HR & payroll software give employees direct access to their paycheck stubs, PTO balances, and tax forms. And payroll team has its advantages: they reduce back-and-forth questions.
Example: A manufacturing company implemented a self-service portal via their online payroll software. Employees could easily access their pay slips and view detailed breakdowns of their earnings, leading to a 50% reduction in paycheck inquiries.
Cutting down payroll time isn’t rocket science — it’s about automating, integrating, and using the right tools. The more you streamline processes, the fewer hours you’ll spend chasing numbers and worrying about compliance. Most importantly, you’ll free up your time to focus on strategic finance work, not just pushing paper.
See how Juggl's integrated solutions can help you prevent operational issues and ensure compliance.